Corporate bond sales reinvigorate market

Issues for Glaxo, Severn and BAT show strong demand

By

Duncan KerrThe Wall Street Journal Europe

Updated March 10, 2008 12:01 a.m. ET

SUCCESSFUL SALES of three corporate bond issues over the past 10 days have restored some confidence to European bond markets, and show that institutional investors are seeking out simple, conservative securities, rather than the more exotic instruments that have sparked market turmoil over the past few months.

The strong demand for a &pound;700 million ($1.4 billion) 31-year bond from GlaxoSmithKline PLC, Severn Trent PLC's &euro;700 million ($1.08 billion) eight-year bond and two new issues from British American...